Weak H-Beam Price around Tokyo

H-beam market price is weak tone at 65,000 yen per tonne for 200 by 100 millimeters width Tokyo. Dealers are trying to ensure an order by reduced selling price when an order from users is decreasing. Because users are requiring price cut to dealers, the market price is expected to continue declining.

Dealers’ inventory is expected to increase at ended November from October when dealers’ shipping more dropped and delivered products increased to dealers from makers.

Dealers are forced in purchase with higher price when H-beam makers didn’t change the selling price of H-beam for the contract in December. The makers, such as Nippon Steel expanded the reduction rate of the output to 70% against the capacity, and will adjust the supply and demand.

However, dealers or users are expected to drop the market price due to low demand for building construction. Some dealers are likely to increase sales volume by reduced selling price before low demand season for January-March 2010.